Access to free education from some of the top schools and best researches in the world sounds like a utopian pipe dream. But thanks to massive open online courses, better known as MOOCs, this next evolution of e-learning is very definitely a reality.
MOOCs are online courses that offer unlimited participation and open access via the web. Naturally, the market is booming with a CAGR of 56. 61 percent from 2013-2018.
And it’s not hard to see why. In the US, the country with the highest number of MOOC users, the cost of education has increased by 500 percent since 1985. Student debt in the country has ballooned from US$200 billion in 2003 to approximately US$1 trillion in 2012.
Market Segmentation by Education of Enrolee, 2013
MOOCs for Professional Development Just as Much as Higher Learning
But it’s not just starving students who are jumping on the e-learning bandwagon. While graduates make up about 40 percent of MOOC enrollees, this is closely followed by postgraduates.
This is largely due to the fact that, in today’s career landscape, even getting a job doesn’t mean it’s time to sit back on your laurels. Professionals are expected to continue their education and professional development well after receiving their degree. But couple this with the rising cost of education worldwide, and it quickly gets out of the financial reach of many young professionals.
Whether you’re a student or professional, making the minimal investment in a PC or tablet is much easier to swallow than paying astronomical tuition fees. With this in mind, TechNavio analysts have put together a comprehensive list of the top players in the MOOC market.
Coursera
Coursera was launched in April 2012 by Stanford professors Daphne Koller and Andrew Ng. It has partnerships with 62 universities worldwide and offers approximately 215 courses.
The company enhances the student experience through peer assessments, digital grading, and interactive exercises to boost student engagement.
Pros
- It has the largest student user base with approximately 2.6 million registered users
- It has partnered with many top-tier universities, using its platform to build and deliver MOOCs
Cons
- It does not provide courses for employee training and recruitment that are offered by some of its competitors, which constrains its reach in the market
- Not all advertised courses are available for enrollment
Courses Offered
- Arts
- Biology and Life Sciences
- Business and Management
- Chemistry
- Computer Science: Artificial Intelligence
- Computer Science: Software Engineering
- Computer Science: Systems and Security
- Computer Science: Theory
- Economics and Finance
- Education
- Energy and Earth Sciences
- Engineering
- Food and Nutrition
- Health and Society
- Humanities
- Information, Technology, and Design
- Law
- Mathematics
- Medicine
- Music, Film, and Audio
- Physical and Earth Sciences
- Physics
- Social Sciences
- Statistics and Data Analysis
- Teacher Professional Development
Key Highlights
- April 2014: Plans to open learning hubs or classrooms for discussion at some New York City public libraries
- April 2014: Announces plans to create content in more languages in a new effort called “Global Translating Community”
Key Partnerships
- October 2013: Thirteen new institutions representing 11 countries, namely, Copenhagen Business School, Eindhoven University of Technology, Koç University, Korea Advanced Institute of Science and Technology, IESE Business School, Moscow Institute of Physics and Technology, National Geographic Society, National Research University Higher School of Economics, Saint Petersburg State University, Shanghai Jiao Tong University, Università Bocconi, University of Lausanne, and University of Manchester, partner with Coursera, bringing the total number of partners offering courses to 107
- October 2013: World Bank signs agreement with the company to meet the demand for practical solutions-oriented learning on pressing issues in developing countries
edX was founded in May 2012 by Harvard and MIT, with UC Berkeley joining in June 2012. It is one of the few non-profit MOOC providers and has partnered with 12 universities to offer approximately 25 free courses. In 2012 edX had a user base of 370,000 students.
edX has provided certifications for specific courses since its inception in 2012. Plans are in line to charge a modest amount for these certifications, and it is also in discussion with ACE CREDIT to provide college credits for courses taken.
Pros
- edX is one of the top non-profit MOOC providers in the world
- Its partnerships with the Ivy league institutions have made it a trusted source of MOOCs
- It was funded with US$65 million by Harvard, MIT, and the University of Texas
Cons
- It is a non-profit organization and, hence, it needs to implement a strong revenue generation model to sustain its operations
- It does not offer college credits for its courses
Courses Offered
- Architecture
- Art and Culture
- Biology and Life Sciences
- Business and Management
- Chemistry
- Communication
- Computer Science
- Economics
- Finance
- Education
- Electronics
- Energy and Earth Sciences
- Engineering
- Environmental Studies
- Food and Nutrition
- Health and Society
- History
- Humanities
- Law
- Literature
- Mathematics
- Medicine
- Music
- Philanthropy
- Philosophy and Ethics
- Physics
- Science
- Social Sciences
- Statistics and Data Analysis
Key Highlights
- March 2014: Announces appointment of Wendy Cebula as President and COO of edX
- March 2014: Expands membership structure that will enable additional universities and colleges, foundations, and other global organizations to join the edX community
Key Partnerships
- November 2013: Queen Rania Foundation partners with edX to create first MOOC portal for the Arab World
xMOOC vs. cMOOC
Udacity
Udacity was founded in January 2012 by Stanford Professor Sebastian Thrun and Google Director of Research Peter Norvig. Its partners include companies such as Google, Cloudera, Salesforce.com, Facebook, MongoDB, Autodesk, Nvidia, Cadence Design Systems, 23andMe, the Georgia Institute of Technology, and San Jose State University.
In 2012, Udacity was offering 22 courses to approximately 750,000 million students. Udacity courses are broken down to target three main audiences: high school students preparing for college, college students looking for alternatives to study courses, and professionals who want to upgrade their skills.
Pros
- Udacity is one of the leading global providers of xMOOC offerings
- It provides certifications for courses
- It has one of the biggest user-bases among the MOOC providers in the market
Cons
- It has partnerships with only two universities, and this restricts the course portfolio and options offered by the company
- It does not offer translation to foreign languages for its content
Courses
- Data Science
- Web Development
- Software Engineering
- Georgia Tech Masters in Computer Science
- Non-Tech Classes
Key Highlights
- January 2014: Launches the world’s first Massive Online Master’s Degree in Computer Science in collaboration with the Georgia Institute of Technology and AT&T
- January 2013: Launches pilot for-credit courses in partnership with San Jose State University
- October 2012: Secures US$15 million in series B funding led by Andreessen Horowitz, together with existing investors Charles River Ventures and Steve Blank
Key Parnerships
- January 2014: Georgia Institute of Technology announces collaboration with Udacity and AT&T to launch world’s first Massive Online Master’s Degree in Computer Science program
- January 2013: San Jose State University and Udacity partner to launch pilot program to provide for-credit online courses to expand access to higher education
Udemy
Udemy was founded in 2010 and is one of the oldest open online education providers in the market. It offers approximately 13,000 courses to its subscribers, and is expected to hit more than 3 million by the end of 2014. Its strategy is to recruit instructors such as CEOs, renowned professors, and celebrities to deliver short courses on specific topics such as “Entrepreneur Productivity Hacks” or “Getting into Highly Selective Colleges”. It has the largest collection of courses of all MOOC providers, and offers corporate workplace solutions.
Udemy also offers its platform to help teachers develop their own online content. Paid courses offered by Udemy cost in the range of US$20-US$200, and 30 percent of the revenue generated from these courses go to Udemy.
Pros
- Udemy has the oldest presence in the Global MOOC market and has a well-established brand name in the field
- It has a user-base of more than 3 million students from over 190 countries in 2014 and this number has grown by more than 50 percent from the previous year
- It has a vast course portfolio, offering up to 13,000 courses
Cons
- It does not provide college credits for its courses, which are offered by some of its competitors by partnering with universities
Courses
- Arts and Photography
- Business
- Crafts and Hobbies
- Design
- Education
- Games
- Health and Fitness
- Humanities
- Languages
- Lifestyle
- Math and Science
- Music
- Social Sciences
- Sports
- Technology
Key Highlights
- January 2014: Launches new Android app that connects millions of students to thousands of online courses
- May 2014: Raises US$32 million to broaden content, expand international presence, and develop new product innovations
- December 2013: Over 2,000 globally recognized organizations embrace Udemy’s corporate workplace solutions after it expands into the corporate training arena early in the year
Key Partnerships
- May 2013: TechCrunch unveils online learning destination CrunchU, in partnership with Udemy
TechNavio has a range of market research reports covering the e-learning sphere. Check out our Global Learning Management Systems Market 2014-2018 report and other reports on www.TechNavio.com.
